Hardware Retailer Rona Spurns Lowe's $1.8B Takeover Bid

Law360, New York (July 31, 2012, 12:37 PM EDT) -- Canadian hardware and garden product retailer Rona Inc. said Tuesday it had swatted away an unsolicited CA$1.8 billion (US$1.8 billion) takeover offer from outsize U.S. rival Lowe’s Cos. Inc., saying the deal wasn't in the best interests of its shareholders.

The CA$14.50 per-share price laid out in the July 8 bid represents a nearly 37 percent premium over Rona’s closing price the previous day. Rona’s stock price has risen more than 10 percent in the few months since media reports that Lowe’s was contemplating a buyout....